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How to Stick to a Budget and Save Money

Budget to zero Go digital Never spend what you don’t have Set non-financial limits Track & reconcile your expenses

A recurring financial dilemma I always run into is the herculean task of sticking to my laid out budget for the month. From unplanned expenses, unexpected requests from family & friends to sheer indiscipline, sticking to my budget proved a chore. Does this sound close to home? Hahaha, I bet so. Creating a budget is a key step to managing your money, but sticking to the budget is a different ball game entirely. Here are 5 tips on how to stick to a budget and save money.
 

  • Budget to zero
  • Go digital
  • Never spend what you don’t have
  • Set non-financial limits
  • Track & reconcile your expenses

 

How to Stick to a Budget and Save Money

 

Budget to zero

Budgeting to zero doesn’t mean that you spend all your income but that every naira, down to the kobo (if you so wish) is allocated to an expense. When budgeting to zero, the difference between your income and expenses should be zero. Allocate an amount to every expense. This includes small purchases, savings, investments, and disposable income. This way, there is no loose change to overspend from and you are more likely to stick to your budget.

 

Go digital.

There are different types of people when it comes to budgeting; the good ol’ pen to paper ones, those who upgraded to using spreadsheets and there should be you, automating your budgeting with Eyowo X, a digital tool. 

Digital tools help automate your spending process and make it easier to stick to a budget by saving you time, energy and some brainwork doing calculations. Not only does Eyowo X help you create categories for your budget, you’re able to attach spend limits on each category as well as get notified when you’re about to overspend. Going digital is one of the sure ways to stick to a budget. 
 

Never spend what you don’t have

The scenario is simple and typical: Bola, who you trust, promised to pay you for goods on Friday. So hey, you borrow some money from your savings or another friend to buy those new crocs, a laptop bag, and a sprinkle of shawarma. “Bola will pay me soon,” you tell yourself. 

STOP. IT. 

Ever heard of the phrase “Don’t count your chickens before they hatch”? Spending money you’re expecting or don’t have (either physically or mentally) can lead to mismanaging your budget. This ‘expected’ money may suddenly become unavailable or timelines may shift and you’re left to pick up the slack. 

Stick to only spending what is available to you.
 

Set non-financial limits

How to stick to a budget and save money also includes setting non-financial limits.

Eyowo will help you set financial limits on your budget, which is great. If you struggle with sticking to a budget, take it a step further and set non-financial limits. See it as a 2-step security system. Don't just budget xx amount on food for the month, put a limit on the number of times you can eat out or order in, put a limit on the number of subscriptions to pay, or how many times you recharge airtime. 

 

Track and reconcile expenses

Track and reconcile your expenses to help you monitor your budget and see how your spend for the month or week aligns with your budget. 

Insights on Eyowo gives you a good picture of your spending patterns and shows you where there are lapses. Make sure to input every spend under appropriate categories and mark transfers to other accounts accordingly for clarity. 

The process of budgeting is more than creating a budget, get started with Eyowo X to get help on simplifying the process and you’re well on your way to hitting your financial goals.


 

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